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12/01/2025Monday, December 1, 2025 1:00 PM City of Clearwater Main Library - Council Chambers 100 N. Osceola Avenue Clearwater, FL 33755 Main Library - Council Chambers Community Redevelopment Agency Meeting Agenda - Final December 1, 2025Community Redevelopment Agency Meeting Agenda - Final 1. Call To Order 2. Approval of Minutes 2.1 Approve the minutes of the November 17, 2025 CRA meeting as submitted in written summation by the City Clerk. 3. Citizens to be Heard Regarding Items Not on the Agenda 4. New Business Items 4.1 Approve funding in an amount not to exceed $80,000 for the Art Oasis Mural Festival in the North Greenwood CRA and authorize the appropriate officials to execute same. 4.2 St. Petersburg College Management Consulting Services Pilot Program Final Presentation. 4.3 Downtown Revitalization 5. Director's Report 5.1 Director’s Report 6. Adjourn Page 2 City of Clearwater Printed on 11/26/2025 Cover Memo City of Clearwater Main Library - Council Chambers 100 N. Osceola Avenue Clearwater, FL 33755 File Number: ID#25-0133 Agenda Date: 12/1/2025 Status: Agenda ReadyVersion: 1 File Type: MinutesIn Control: Community Redevelopment Agency Agenda Number: 2.1 SUBJECT/RECOMMENDATION: Approve the minutes of the November 17, 2025 CRA meeting as submitted in written summation by the City Clerk. Page 1 City of Clearwater Printed on 11/26/2025 Community Redevelopment Agency Meeting Minutes November 17, 2025 Page 1 City of Clearwater City of Clearwater Main Library - Council Chambers 100 N. Osceola Avenue Clearwater, FL 33755 Meeting Minutes Monday, November 17, 2025 1:00 PM Main Library - Council Chambers Community Redevelopment Agency Draft Community Redevelopment Agency Meeting Minutes November 17, 2025 Page 2 City of Clearwater Roll Call Present 5 - Chair Bruce Rector, Trustee Ryan Cotton, Trustee Michael Mannino, Trustee David Allbritton, and Trustee Lina Teixeira Also Present: Jennifer Poirrier – City Manager, Alfred Battle – Assistant City Manager, David Margolis – City Attorney, Rosemarie Call – City Clerk, Nicole Sprague – Deputy City Clerk, and Jesus Niño – CRA Executive Director To provide continuity for research, items are listed in agenda order although not necessarily discussed in that order. Unapproved 1. Call to Order – Chair Rector The meeting was called to order at 1:00 p.m. 2. Approval of Minutes 2.1 Approve the minutes of the September 15, 2025 CRA meeting as submitted in written summation by the City Clerk. Trustee Teixeira moved to approve the minutes of the September 15, 2025 CRA meeting as submitted in written summation by the City Clerk. The motion was duly seconded and carried unanimously. 3. Citizens to be Heard Regarding Items Not on the Agenda Kelly Myer requested consideration to add town hall meetings to the proposed council meeting schedule and asked the City to consider how the proposed changes to the development code will impact the S. Garden Avenue situation. Erika Escamilla requested consideration to implement a microgrant program for activities in the Mercado to assist vendors with their stands during market events at the Mercado and to provide branded chairs and tables for market events. 4. New Business Items 4.1 Approve, in an amount not to exceed $122,438.25, for the Downtown Commercial Grant to 45 Sports Bar and Lounge, LLC, located at 1409 Cleveland Street, Clearwater, FL 33756, and authorize the appropriate officials to execute the same. Draft Community Redevelopment Agency Meeting Minutes November 17, 2025 Page 3 City of Clearwater 45 Sports Bar and Lounge, LLC, a locally owned business operating since 2023, is requesting Downtown Commercial Grant funding to expand and enhance their existing location. Proposed improvements include extending the bar area, repairing floors, completing kitchen renovations, upgrading lighting and duct work, interior painting, replacing storefront glass windows, and renovating restrooms. The total project cost is $222,615.00, with the applicant providing a 45% match of $100,176.75. Proof of matching funds has been submitted to CRA staff. The applicant was previously awarded a Business Renovation Grant in 2023 for $19,450.00. The proposed improvements will enhance the functionality, provide additional capacity, and improve the overall appeal of the property along Cleveland Street. The Downtown Commercial Grant Program is designed to help Downtown Clearwater thrive as the urban core and heart of the City, serving as the center of business and government, and as an attractive place to live, work, shop, and play (Ch. 3, Vision, pg. 44). It also aligns with the City’s Strategic Objective to strengthen public-private initiatives that attract, develop, and retain diversified business sectors. Total Project Cost: $222,615.00 • CRA Grant (not to exceed): $122,438.25 • Applicant Match: $100,176.75 (45% of total project cost, verified by staff) The applicant agrees that all improvements funded through this Program will be maintained in accordance with City policies, codes, and any other applicable requirements identified by the City, CRA, or other regulatory agencies for a period of not less than three (3) years, unless otherwise approved in writing by the CRA Director. The applicant shall also comply with all applicable City rules and regulations, including the City of Clearwater Ethics Code. Each applicant acknowledges and understands that the Ethics Code prohibits City employees from receiving any direct or indirect benefit from any contract or obligation entered into with the City. Applicants must obtain a Certificate of Occupancy or Certificate of Completion within three hundred sixty-five (365) calendar days from the date of the executed grant agreement, unless otherwise approved in writing by the CRA Director. CRA staff recommends approval as the grant will support business expansion, enhance the downtown environment, and strengthen the economic vitality of Cleveland Street. Draft Community Redevelopment Agency Meeting Minutes November 17, 2025 Page 4 City of Clearwater APPROPRIATION CODE AND AMOUNT: Funds for this new grant are available in R2003- Economic Development-City in an amount not to exceed $122,438.25 STRATEGIC PRIORITY: 2.1 Strengthen public-private initiatives that attract, develop, and retain diversified business sectors. Trustee Allbritton moved to approve, in an amount not to exceed $122,438.25, for the Downtown Commercial Grant to 45 Sports Bar and Lounge, LLC, located at 1409 Cleveland Street, Clearwater, FL 33756, and authorize the appropriate officials to execute the same. The motion was duly seconded and carried unanimously. 4.2 Downtown Revitalization. A monthly opportunity for CRA Trustees to exchange ideas and address downtown related topics and priorities. Discussion ensued with comments made that messaging regarding activities and restaurants needs to continue and that many of the Market Marie retail vendors continue to express an interest in participating in city initiatives, such as mobile street vendors. 5. Director's Report 5.1 CRA October Director’s Report CRA Executive Director Jesus Niῆo provided a PowerPoint presentation. In response to comments regarding adding the North Ward property to the county list, the City Manager said staff has provided the county's consultant, CBRE, a list of properties for potential assemblage. She said it was her understanding that those properties would not be advertised. CBRE is working on the proposed solicitation, which will be shared with Council. There was consensus to make the County aware that the North Ward property site is available, if they are interested. In response to a question, Mr. Niῆo said the Cleveland Street Market restaurant relied heavily on the tenants, who did not support the business as originally expected, and was located in an area that lacked foot and vehicular traffic. CRA Assistant Director Anne Lopez said staff has reached Draft Community Redevelopment Agency Meeting Minutes November 17, 2025 Page 5 City of Clearwater out to the owner of the new restaurant in Downtown, Flipside Burger, and hopes to have an update on the expected opening soon. 6. Adjourn The meeting adjourned at 1:37 p.m. Chair Community Redevelopment Agency Attest City Clerk Draft Cover Memo City of Clearwater Main Library - Council Chambers 100 N. Osceola Avenue Clearwater, FL 33755 File Number: ID#25-1215 Agenda Date: 12/1/2025 Status: Agenda ReadyVersion: 1 File Type: Action ItemIn Control: Community Redevelopment Agency Agenda Number: 4.1 SUBJECT/RECOMMENDATION: Approve funding in an amount not to exceed $80,000 for the Art Oasis Mural Festival in the North Greenwood CRA and authorize the appropriate officials to execute same. SUMMARY: In 2024, the city/CRA hosted Clearwater’s first Art Oasis Mural Festival. The name reflects the idea that, while Clearwater can sometimes feel like an “art desert,” concentrated public art can transform a neighborhood into an oasis of creativity. Last year’s festival successfully delivered seven new murals across the Downtown and East Gateway neighborhoods. This year, the Arts and Cultural Affairs Division is requesting funding to bring the same initiative to the North Greenwood CRA. Murals will be offered to local businesses, property owners, and selected City-owned structures. An application process will be available for property owners, or businesses with property owner approval, who wish to host a mural. For this iteration, staff hopes to add a new component that was not previously possible: a culminating neighborhood celebration to honor the new artworks and officially close the festival. This will be produced and paid for by Arts and Cultural Affairs Division. This festival will bring together regional artists, residents, and businesses to create murals that beautify the neighborhood while enhancing community pride and connection. Purpose of the Festival ·Support neighborhood revitalization and increase foot traffic to local businesses. ·Help establish North Greenwood as a cultural destination within Clearwater. Artist & Design Selection Process Clearwater will conduct an open call for artists (currently open). The highest-scoring applicants, with preference for regional artists, will form the top 10 pool. Business owners will review artist portfolios and select their preferred artist, who will then design a mural specifically for their building. Selection operates on a first-come, first-served basis, giving early applicants the widest selection of artists. The CRA funds the artist commissions, which include materials, labor, and on-site storage. Property owners receive a professionally created mural at no cost, an investment that would typically range from $5,000 to $20,000, depending on scale. Completed murals will be added to the City’s public art map to help draw visitors and increase foot traffic. This item was brought forward to the North Greenwood Citizen’s Advisory Committee at their September 3, 2025, meetings and was approved for recommendation. APPROPRIATION CODE AND AMOUNT: Funds are available in cost code 3897552-R2405- Public Art & Culture, to fund this program. STRATEGIC PRIORITY: 2.1 Strengthen public-private initiatives that attract, develop, and retain diversified business sector. 3.1 Support neighborhood identity through services and programs that empower community pride and belonging. Page 1 City of Clearwater Printed on 11/26/2025 North Greenwood CRA Art Oasis Mural Festival CRA Budget Request: $80,000 Murals to Be Funded: 7 new murals In 2024, the City hosted Clearwater’s first Art Oasis Mural Festival. The name reflects the idea that, while Clearwater can sometimes feel like an “art desert,” concentrated public art can transform a neighborhood into an oasis of creativity. Last year’s festival successfully delivered seven new murals across the Downtown and East Gateway neighborhoods. This year, the Arts and Cultural Affairs Division is requesting funding to bring the same initiative to the North Greenwood Neighborhood. Murals will be offered to local businesses, property owners, and selected City-owned structures. An application process will be available for property owners, or businesses with property owner approval, who wish to host a mural. For this iteration, we hope to add a new component that was not previously possible: a culminating neighborhood celebration to honor the new artworks and officially close the festival. This festival will bring together regional artists, residents, and businesses to create murals that beautify the neighborhood while enhancing community pride and connection. Purpose of the Festival • Support neighborhood revitalization and increase foot traffic to local businesses. • Help establish North Greenwood as a cultural destination within Clearwater. Artist & Design Selection Process Clearwater will conduct an open call for artists (currently open). The highest-scoring applicants, with preference for regional artists, will form the top 10 pool. Business owners will review artist portfolios and select their preferred artist, who will then design a mural specifically for their building. Selection operates on a first-come, first-served basis, giving early applicants the widest selection of artists. The City/CRA funds the artist commissions, which include materials, labor, and on-site storage. Property owners receive a professionally created mural at no cost, an investment that would typically range from $5,000 to $20,000, depending on scale. Completed murals will be added to the City’s public art map to help draw visitors and increase foot traffic. Potential Locations – Big Jims BBQ - 1303 N Martin Luther King Jr Ave Clearwater Police Substation - 1310 N Martin Luther King Jr ave. Pinellas County African American Historical Museum - 1101 Marshall St *Pinellas County School Board (property owner) has already given permission* Marshall Waste Water Treatment Plant Tank – Chicken Mart - N Martin Luther King Jr Ave Isah Gulley Center / Head Start -1045 N Martin Luther King Jr Ave Smith’s Services and Groceries - 1101 N Martin Luther King Jr Ave Mike Anderson Collision Center - 1101 Seminole St, Clearwater, FL 33755 Murals Already Scheduled in North Greenwood • North Greenwood Library – Library-funded and included in the festival • Parks Beautification Building – Public Communications/Neighborhood-funded and included in the festival • Willa Carson Center – Mural completed last year with Public Art Grant funds Next Steps 1. Business application currently open. 2. Consultant is conducting outreach with multiple business owners. 3. Score artist submissions and select top 10. 4. Develop marketing and outreach strategies to promote the murals locally and regionally. 5. Launch community engagement initiatives leading up to the event. Cover Memo City of Clearwater Main Library - Council Chambers 100 N. Osceola Avenue Clearwater, FL 33755 File Number: ID#25-1218 Agenda Date: 12/1/2025 Status: Agenda ReadyVersion: 1 File Type: Action ItemIn Control: Community Redevelopment Agency Agenda Number: 4.2 SUBJECT/RECOMMENDATION: St. Petersburg College Management Consulting Services Pilot Program Final Presentation. SUMMARY: Dr. Andy Rojas, Professor at St. Petersburg College (SPC), will present the final report of the pilot Management Consulting Services Project conducted in partnership between the City of Clearwater and SPC. Dr. Rojas will also introduce his student junior business consultants to the CRA Trustees for acknowledgment of their participation and contributions to the project. On July 7, 2025, staff introduced a new partnership between the City of Clearwater and the College of Business at St. Petersburg College to launch a pilot Management Consulting Services Program. This initiative was designed to strengthen local business performance while enhancing student professional development through hands-on consulting experience. The program officially commenced on October 1, 2025, and provided pro bono consulting services to the Clearwater Urban Leadership Coalition. The consulting team was composed of SPC business students enrolled in an intensive 8-week Management Consulting course, under the supervision of Dr. Andy Rojas, a professor with over 25 years of consulting experience across multiple industries. DELIVERABLES TO PARTICIPATING BUSINESSES: ·A co-branded, comprehensive business report ·SWOT analysis ·Industry and competitive research ·Tailored strategic growth plan customized with insights to improve operations and identify competitive advantages STRATEGIC PRIORITY: 2.1 Strengthen public-private initiatives that attract, develop, and retain a diversified business sector 2.3 Cultivate a business climate that welcomes entrepreneurship, encourages investment, and supports high-quality job growth 2.5 Facilitate partnerships with educational and research institutions to enhance workforce development opportunities 3.1 Support neighborhood identity through programs that empower community pride and belonging Page 1 City of Clearwater Printed on 11/26/2025 THE GROOVE KRATE OF CLEAR WATER REPORT BY: THE CONSULTATION TEAM 1 THE GROOVE KRATE OF CLEAR WATER THE GROOVE KRATE OF CLEAR WATER TABLE OF CONTENTS SECTION 1 The Consulting Team ……………………………………………………………………………………….. 3 Executive Summary………………………………………………………………………………………….. 5 Mission …………………………………………………………………………………………………………… 6 Client Profile…………………………………………………………………………………………………… 6 Problem Identification ……………………………………………………………………………………… 7 Disclaimer………………………………………………………………………………………………………. 7 Methodology Map……………………………………………………………………………………………. 8 SECTION 2 SWOT Analysis …….………………………………………………………………………………………….. 9 Internal Factor Evaluation ………………………………………………………………………………….. 9 External Factor Evaluation …………………………………………………………………………….…… 11 Competitive Profile Matrix (CPM) ……………………………………………………….……………… 12 Boston Consulting Group (BCG)Evaluation ………………………………………………..…………. 13 SECTION 2.1 Market Research: Macro And Micro Analysis. ………………………………………..…………… 20 Key Findings ………………….……………………………………………………………………………….. 21 Pre-Opening Recommended Best Practices ………………………………………………………… 23 Post-Opening Recommended Best Practices ………………………………………………………. 26 Process ……………………………………….………………………………………………………………… 27 Families, Visitors, Clients - Customers ………………………………………………………….…… 27 Growth Best Practices Post - Opening ……..……………………………………………………..… 26 Micro-Analysis Insights and Findings ……..……………………………………………..…………… 29 Others ……..…………………………………………………………………………………………….……… 30 SECTION 3 Strategies and Recommendations ……………………………………………………………….……… 32 Appendix A …………………………………………………………………………………………………….. 40 Appendix B ………………………………………………………………………………………………….…. 41 Appendix C …………………………………………………………………………………………………….. 42 References ……………………………………………………………………………………………………… 44 2 THE GROOVE KRATE OF CLEAR WATER THE CONSULTING TEAM 3 Inspired by SPC mission “Better Jobs, Better Lives” for our students, my goal was to give our student consultants a unique "Real Business World" experience that builds their skills and helps them prosper in their careers while supporting the socioeconomic growth of local families and small businesses. City of Clearwater trustees, mayor Bruce Rector, Jesus, Audra, Gloria, and Marilyn; I thank you for your trust by allowing me to launch this collaboration, and I look forward to many more. Dr. Andy Rojas Joseph Mineo I am honored to have been invited by Dr. Rojas to be a part of this project, helping make the Grove happen. The experience I have gained and the people I have met means so much to me and has been unforgettable. It has been a privilege to consult for the coalition and the City of Clearwater under the guidance of Dr. Rojas. This experience has pushed me to grow professionally and to transform our knowledge and analytical frameworks into meaningful, value-adding contributions for your organization. As an MBA, I recognize the importance of integrating academic research with real-world industry practices to uncover insights and angles that others may overlook. Hector Amortegui, MBA THE GROOVE KRATE OF CLEAR WATER 4 It has been a privilege to be part of The Groove Krates of Clearwater. From the moment Dr. Rojas approached me, I didn’t hesitate to join. I wanted to support a meaningful cause that uplifts the community while taking on a challenge that demands creativity, resilience, and strategic problem-solving.I’m grateful for the trust placed in me and excited to help The Groove Krates of Clearwater grow into the vibrant destination it is meant to be. Participating in this project has been a rewarding experience that allowed me to step outside the classroom and work on something real and meaningful. Being involved with The Groove Krates of Clearwater taught me how community development, strategy, and teamwork come together to create lasting impact. I’m thankful for the chance to contribute, learn, and support a project that will bring new opportunities to Clearwater and beyond.Aimen Mudassar Working as a business consultant on this project has been one of the best experiences in my career. I'd like to thank the Urban Coalition, the City of Clearwater, and Dr. Rojas for providing me with this opportunity to support the local community.Ryan Davidson Lisa Ljones. LDO,ABO,NCLE I am honored to be a part of the Grove Container business consulting project. I look forward to collaborating with you to ensure the Grove Container Project strengthens Clearwater’s reputation as a forward-thinking community and delivers meaningful benefits to those you serve. John Musallam THE GROOVE KRATE OF CLEAR WATER SECTION 1 EXECUTIVE SUMMARY T his report analyzed The Groove Krates of Clearwater—a retail container plaza project to be located in North Greenwood. One of its main objectives is to become a destination in Clearwater. It is owned and will be operated by the nonprofit Urban Coalition organization, whose mission is to uplift African American communities by fostering an inclusive space for entrepreneurship, culture, and growth. The primary challenge was to develop a well-designed commercial space, identify the most suitable mix of retail and food concepts, and implement a strategic plan for successful execution. The team of consultants in this project conducted Primary Market Research (PMR) at the micro and macro industry level. In addition, secondary market research was conducted. Our findings from PMR at Sparkman Wharf in Channelside, Tampa, and The Krates in Wesley Chapel revealed that both locations have transitioned from mixed retail concepts into social-gathering destinations defined by clusters of restaurants. However, some key risks were identified: disconnected landlord–tenant relationships related to operations, high rent-to-tenant revenue ratio, high tenant turnover, low trust in management, flaws in architectural design, and limited financial commitment from tenants—all of which can significantly impact long-term success. Best practices that drive growth were particularly identified at Sparkman Wharf. 5 THE GROOVE KRATE OF CLEAR WATER Based on the findings, our recommendations for The Groove are focused on establishing a unique cluster of restaurants, entertainment options, with a big 'DNA' factor as a social destination that attracts families, children, locals, and even tourists. To support operational excellence, risk mitigation, and growth, a comprehensive Operations Manual should be developed by the Urban Coalition and must be followed by all tenants. To sustain financial stability and profit growth, a financial model that aligns the mutual interests of both the landlord and the tenants is also essential; thus, an enhanced revenue-sharing structure has been included to address this need. Ongoing marketing, social media management, and event promotion must be designated as formal responsibilities to maintain consistent visibility and community engagement. Most importantly, the Urban Coalition should leverage its nonprofit status to build strong strategic partnerships with churches, high schools, colleges, universities, and local businesses, encouraging their involvement in promotion, donations, and collaboration to increase revenue and help replicate similar projects throughout the area. To develop a competitive advantage over other retail plazas and destinations, the Urban Coalition needs to infuse a well-defined organizational culture for tenants, employees, vendors, and all stakeholders; a culture that follows this principle: “This is how we do things at The Groove.” MISSION T he Groove empowers North Greenwood by creating an inclusive space that fuels family, culture, entrepreneurship, and collaboration. We support local businesses, celebrate community heritage, and strengthen connections through shared growth and opportunity for Clearwater and beyond. CLIENT PROFILE T he Urban Coalition is a nonprofit organization representing and uplifting the African American community of North Greenwood in Clearwater. The idea for The Grove container plaza was founded in 2019 as a vision to improve local socioeconomic conditions through community-based development. The Coalition is the 6 THE GROOVE KRATE OF CLEAR WATER driving force behind this project, designed to create business opportunities and shared cultural space. Its mission is to support entrepreneurship, economic mobility, and a stronger, more connected community. Three major problem areas have been identified for The Urban Coalition: the need for a clearer strategic plan, sustainable growth pathways, and the absence of a formal risk and operational management structure to support ongoing development. PROBLEM IDENTIFICATION Three major problem areas have been identified for The Urban Coalition: the need for a clearer strategic plan, sustainable growth pathways, and the absence of a formal risk and operational management structure to support ongoing development. DISCLAIMER This project was completed by students for academic credit. All research findings, information, and recommendations are solely the result of academic study. Neither the students nor the supervising professor assumes any liability for any future implications, actions, or consequences that may arise from the use of this project's content by the City of Clearwater, The Grove, or The Urban Coalition. METHODOLOGY MAP 7 THE GROOVE KRATE OF CLEAR WATER 8 THE GROOVE KRATE OF CLEAR WATER SECTION 2 SWOT ANALYSIS INTERNAL FACTOR EVALUATION The Internal Factor Evaluation (IFE) identifies the strengths and weaknesses within the Container Plaza, with separate assessments for both the plaza owners and individual tenant businesses. Each factor is assigned a weight and rated on a scale from 1 to 4, where 1 indicates poor performance and 4 represents superior performance. At the end, a more detailed description of a few is provided. LAND LORD OPERATORS Strengths Weight Rating Weighted Score1Low rent 0.15 4 0.60 2 Low nearby competition 0.10 4 0.40 3 Support from local banks 0.10 2 0.20 4 Access to local agencies 0.05 3 0.15 5 close to the amphitheater 0.03 4 0.10 6 City of Clearwater Contributions 0.05 3 0.15 7 Leadership commitment Urban coalition 0.05 4 0.20 8 Local community support 0.03 3 0.09 9 the container concept itself 0.03 4 0.12 9 THE GROOVE KRATE OF CLEAR WATER TENANT BUSINESS OWNERS Weaknesses Weight Rating Weighted Score1First-time Landlords (operating manual)0.05 2 0.10 2 Increasing the cost of crates to 100,000 0.10 1 0.10 3 Low parking spots 0.05 2 0.10 4 Neighborhood history 0.03 2 0.06 5 Undecided theme/identity 0.05 1 0.05 6 Capacity Managers 0.05 2 0.10 7 Parcel 0.02 2 0.04 8 unidentified criteria 0.01 1 0.01 9 lack of storage space 0.05 1 0.05 Total IFE Score 1.00 2.62 Strengths Weight Rating Weighted Score1Affordable rent 0.20 4 0.80 2 Good relationship with the landlord 0.08 3 0.24 3 Banks and Agency resource training 0.05 2 0.10 4 Very Low Competition 0.15 4 0.60 5 Residental Proximity 0.10 4 0.40 Weaknesses Weight Rating Weighted Score1Limited financial records 0.10 2 0.20 2 Limited/ no business experience 0.12 3 0.36 3 Part-time business owners 0.05 2 0.10 4 No storage 0.15 1 0.15 Total IFE Score 1.00 2.95 10 THE GROOVE KRATE OF CLEAR WATER 1.Limited storage capacity at the plaza may pose operational challenges. In our research, we found it is essential to ensure that all businesses have sufficient space to store ingredients and supplies effectively. 2.Tenants with limited business experience often struggle to make sound decisions during their critical first three years. Offering guidance and encouraging the use of free educational resources can significantly improve their chances of success. 3.Low rent is a key driver of growth, reinvestment, and long-term sustainability. When strategically leveraged, it becomes the Grove project's most valuable asset. 4.The Urban Coalition’s strong commitment and leadership are key advantages that support the successful stewardship of the Grove. Engaged and proactive landlords contribute positively to every aspect of their development and operations. EXTERNAL FACTORS EVALUATION (EFE) External Factor Evaluation (EFE) is an external evaluation for the owners and operators of the plaza that goes over possible external opportunities and possible external threats. Like the IFE, the EFE is weighted and rated on a scale from 1 to 4, where 1 indicates poor performance and 4 represents superior performance. Opportunities Weight Rating Weighted Score1No competitors 0.25 4 1 2 Local Events 0.15 2 0.3 3 Expansion 0.10 2 0.2 Threats Weight Rating Weighted Score1Noise pollution risk 0.28 3 0.84 2 Expansion denial 0.10 2 0.20 3 Tenent Coheasion 0.12 3 0.36 Total EFE Score 1.00 2.90 11 THE GROOVE KRATE OF CLEAR WATER COMPETITIVE PROFILE MATRIX (CPM) A field review was conducted in Clearwater to identify potential competitors for a proposed shopping plaza constructed from repurposed shipping containers. Three locations were evaluated. Although none proved to be direct competitors, the analysis revealed important insights about market gaps, differentiation opportunities, and common pitfalls among similar retail formats. Location 1 – Recently Closed Shopping/ Restaurant Concept Status: Out of business (closed approximately one week prior to visit) Key Observations • Poor tenant mix: The businesses selected for the plaza were not aligned with local demand or demographic preferences. • Lack of marketing: Minimal online presence and no visible branding or promotional efforts contributed to low awareness. • Google Maps/online listing issues: Incorrect or poorly managed location data made it difficult for customers to find the site. Relevance as a Competitor 1. Not a direct competitor due to closure and traditional building format, not container-based. 2. Indirect insight: Highlights the importance of visibility, targeted tenant selection, and digital presence for any retail plaza—especially a unique concept like shipping containers. Locations 2 & 3 – Traditional Strip Malls Status: Fully operational, standard retail strip malls Key Observations • Typical layout and tenant composition (services, restaurants, small retail). • Not designed to be experiential or visually distinctive. • Standardized, predictable retail environment lacking unique destination appeal. Relevance as Competitors • Not direct competitors due to: • Different construction style (traditional buildings vs. shipping containers). • Different strategic focus (convenience shopping vs. destination-oriented experience). • Their model does not align with the innovative, aesthetic, and modular design appeal that a shipping-container plaza offers. 12 THE GROOVE KRATE OF CLEAR WATER BOSTON CONSULTING GROUP (BCG) EVALUATION The BCG Matrix is a tool companies use to look at all their products (or services) and quickly decide where to spend money and resources, and where to cut potential risks or losses. Considering the client's ultimate goal for the Groove Plaza to be a destination, this BCG matrix was customized and developed under this important consideration. The BCG matrix provides examples of businesses that fall under cash cows, stars, question marks, and dogs. This BCG matrix was customized and developed with the consideration to make the Groove Krate of Clearwater a destination. 13 THE GROOVE KRATE OF CLEAR WATER KEY DEFINITIONS Cash Cows: High market share but low growth. They generate more cash than they consume, providing funds for stars and other investments. Stars: High market share and high growth. These products require significant investment to maintain their growth. Dogs: Low market share and low growth. These products typically do not generate significant cash flow and may be candidates for divestment Questions Marks: Low market share but high growth. These products require investment to increase market share but are uncertain in their potential. 14 THE GROOVE KRATE OF CLEAR WATER MAIN RESULTS CASH COW SECTION Profit Margin: Soul food and comfort food restaurants typically earn gross profit margins between 60% and 75%, depending on menu design and ingredient sourcing. These cuisines rely on affordable staples and high perceived value, making them financially attractive when managed well BusinessDojo reports that for restaurants in general, gross profit margins are around 60–65%, with food & beverage costs being 28–35% of sales Politz, M. (2025, month). Cobbler & Dumpcakes: The sweet profit centers for restaurants. Food & Beverage Magazine. 🍗 Soul Food Spot Serve classics like fried chicken, collard greens, mac & cheese, and cornbread. 🍔 Affordable Burger & Wings Joint Focus on value meals, flavored wings, and loaded fries. •Great for takeout and late-night crowds. 🌮 Southern-Inspired Taco Bar •Fusion tacos with fillings like catfish, jerk chicken, or BBQ pulled pork. •Add sides like sweet plantains or hush puppies. 🍱 Caribbean Takeout Spot •Jerk chicken, curry goat, patties, and rice & peas. •Emphasize bold flavors and quick service. 🍤 Seafood Shack •Fried fish, shrimp baskets, crab boils. •Offer seasonal specials and combo platters. 🍧 Dessert & Ice Cream Bar Southern-style sweets: banana pudding, peach cobbler, sweet potato pie. Include affordable treats for kids and families Ice cream and specialty desserts: 70–85% gross margin per item. Source: Food & Beverage Magazine (2025), Flavor365 (2025) 15 THE GROOVE KRATE OF CLEAR WATER STARS SECTION The average gross profit margin for a cup of coffee in a café is around 70 – 85%. Specialty Drinks The business story about why McDonald's decided to introduce the McCafé represents in the world of business one of the most effective business decisions to maximize profits. The theory of three Big Macs equaling one cup of coffee exemplifies that the cost of producing, assembling, and selling food items has a higher overhead compared to making a cup of coffee, which essentially requires water and coffee Coffees, drinks, and specialty drinks carry a much higher gross profit margin compared to any food item. This is a key consideration for business owners. The average gross profit margin for a cup of coffee in a café is typically very high—around 70–85%. This means that for every dollar earned from selling a cup, only 20–30 cents go toward direct costs like beans, milk, and sugar, while the rest contributes to covering overhead and profit CoffeeShopHub. (n.d.). Wake up and smell the coffee: Gross profit margin for a cup. CoffeeShopHub. Specialty drinks show rapid market growth and strong consumer demand. They deliver high margins and differentiate the brand from competitors. Continued investment will sustain leadership and maximize long-term profitability. 16 THE GROOVE KRATE OF CLEAR WATER Boba Tea Profit Margin: The gross profit margin of a cup of boba tea typically ranges from 60% to 80%, depending on ingredients, pricing, and location. This makes it one of the more profitable beverage options in the food industry. •BusinessDojo – Boba tea: average revenue, profit and margins •Toast – How Much Do Boba Shops Make? •7shifts – How Much Do Boba Shop Owners Make? •Entrepreneurs.ng – How Profitable Is a Boba Tea Business Boba tea enjoys rapid market growth and strong popularity among younger demographics.High margins and unique flavors make it a standout in the beverage industry.Continued investment will expand market share and secure long-term profitability. BusinessDojo. (n.d.). Boba tea: Average revenue, profit and margins. BusinessDojo. https:// dojobusiness.com/blogs/news/ tool-revenue-boba-tea Vegan Soul Kitchen Plant-based versions of soul food staples. Appeals to health-conscious diners and younger crowds. •Specialty drinks show rapid market growth and strong consumer demand. •They deliver high margins and differentiate the brand from competitors. •Continued investment will sustain leadership and maximize long-term profitability. Vegan soul food is experiencing rapid growth as plant-based dining gains mainstream popularity.Unique cultural flavors combined with health-conscious appeal create strong differentiation and high margins.Continued investment will expand market share and establish leadership in this emerging niche. Precedence Research. (2025, July 4). Vegan food market size to hit USD 55.88 billion by 2034, plant-based demand drives 10.7% CAGR. GlobeNewswire. https:// www.globenewswire.com/news- 17 THE GROOVE KRATE OF CLEAR WATER QUESTION MARKS SECTION 🥗 Healthy Comfort Kitchen •Soulful but nutritious: baked proteins, grain bowls, and veggie- forward dishes. Healthy comfort food is in a growing market, but still holds a low relative share. Strategic investment is needed to determine if it can become a star or fade away. 🍕 Pizza & Subs Counter •Budget-friendly slices, hoagies, and family meal deals. •Great for families and students Pizza and subs remain in a competitive market with modest growth but a low relative share. Focused investment or repositioning is needed to determine if it can grow into a star. DOGS SECTION • Toy or Gaming Store: Demand has declined as online platforms dominate the market. Limited growth opportunities make profitability difficult to sustain. • General Merchandise Store: These stores struggle to stand out in a c r o w d e d , p r i c e - d r i v e n r e t a i l environment. Low margins and weak differentiation keep them from gaining market share. 18 THE GROOVE KRATE OF CLEAR WATER •Clothing Store: Intense competition and fast-changing fashion trends erode profitability. Without strong brand identity, growth prospects remain minimal. •Grocery stores operate in a low-growth, highly competitive market with thin margins.Limited differentiation and rising costs make it difficult to gain market share or sustain profitability. •General service providers operate in a mature, low-growth market with heavy competition.Limited differentiation and shrinking margins make it difficult to expand market share or sustain profitability. (PMR, 2025) KRATE retail shops don’t grow fast and don’t dominate the market → low growth + low share = Dog in the BCG Matrix. 19 THE GROOVE KRATE OF CLEAR WATER SECTION 2.1 MARKET RESEARCH: MACRO AND MICRO-ANALYSIS In this project, consultants utilized a Primary Market Research (PMR) methodology for gathering new, original data and industry insights directly from sources. This firsthand data and information were collected through interviews with seven participants, providing customized, relevant insights that were specific to a business's needs, management of operations, growth strategies, challenges, and risks. WHY MACRO-ANALYSIS WAS USED. The objective of the macro-analysis was to provide the Urban Coalition and the City of Clearwater with credible, insightful knowledge and practical tools about how to develop, operate, and manage both risks and growth for a retail shopping plaza. To achieve this objective, consultants obtained key information from owner-operators, and executives at Strategic Property Partners (SPP) located in Tampa, Florida. SPP is a leading commercial real estate organization responsible for developing the largest and most signif icant transformation of downtown Tampa called Water Street, with an estimated value of approximately $4 billion. Notably, the SPP group acquired the former bankrupt Tampa Channelside Plaza and transformed it into a thriving and successful family-oriented Container Retail Plaza known as Sparkman Wharf. 20 This document offers key findings from interviews with seven participants, providing customized, relevant insights that are specific to a business’s needs. management of operations, growth strategies, challenges, and risks. THE GROOVE KRATE OF CLEAR WATER KEY FINDINGS: HEALTH RATIO Plaza operators must pay close attention to a tenant's Health Ratio (HR) Findings from our macro-analysis revealed the importance of managing health ratios Retail tenants' financial strength in commercial real estate is gauged using the health ratio (or occupancy cost ratio). This ratio compares a tenant's yearly space costs (like rent and taxes) to their annual sales. A low health ratio is a sign of a sustainable and financially healthy tenant, but a high ratio signals a greater chance of tenant turnover (SPP-Velazquez, 2025). Why this is important Especially for landlords, HR helps assess the financial stability of a tenant, which affects the property's overall value and can help determine fair rental rates. A low ratio can mean a landlord has room to increase rent, while a high ratio might suggest the need to renegotiate or prepare for a vacancy (SPP-Velazquez, 2025). The formula for how to calculate it: 21 THE GROOVE KRATE OF CLEAR WATER Traffic Risk: Traffic Management Careful consideration must be paid to daily traffic management and the flow of pedestrians, cars, children, and families. Findings revealed that injuries and accidents have occurred at shopping plazas.(Tarek, 2025) This risk is even more critical during events as traffic increases significantly. Risk Mitigation: Traffic Management The site development and architectural design of the plaza must be done in such a way that mitigates this risk from the start. Sidewalks, street crossing signs, parking signs, fences in key places, gates for entrances and exits, stop signs, warning signs, street lights, block streets during events, and other similar factors should be carefully considered. It is also advised to discuss these issues with the City of Clearwater, neighborhood residents, and the police department (Tarek, 2025) Business Mix The Krate opened in 2022. The initial business mix was based on 50% restaurants and 50% retailers. The Krate has experienced high tenant turnover, particularly for retailers. Fierce competition from e-retailers and nearby malls was noted. Today, the business mix has drastically changed; it is about 90% restaurants and 10 % retailers (Gabe, 2025) Risk: Product and People, Bars and Alcoholic Beverages Careful consideration must be paid to tenants that operate bars or sell alcoholic beverages. Findings from our macro- research revealed risks from people’s poor behavior, intoxication, fights, property damage, or injuries. This risk is exponentially greater during events. Risk Mitigation: Product and people, Bars and Alcoholic Beverages The leasing contract for bars and businesses that sell alcoholic beverages should include concrete language related to the prevention and management of these risks. Outsourcing services for security is also advised, particularly during events. The Krate opened in 2022. The initial business mix was based on 50% restaurants and 50% retail. The Krate has experienced high tenant turnover, particularly for retailers. Today, the business mix has drastically changed, becoming 85% restaurants and 15 % retailers. Back in 2022, 50/50. Now, 2025 is 15% retail - 85% Restaurants Facing out retail. 22 THE GROOVE KRATE OF CLEAR WATER PRE-OPENING RECOMMENDED BEST PRACTICES OPERATIONS MANAGEMENT Plaza Operators Must Have an Operating Manual Risk: Operation, process, and execution The largest challenge at this point is not having any operation, process to execute. Risk Mitigation: Operation, Process, and execution. The foundation of a successful business lies in a well-designed and thoroughly implemented Operations Manual. This document should outline clear procedures, responsibilities, and performance standards to ensure consistency, compliance, and efficiency across all activities. A comprehensive Operations Manual helps prevent confusion, minimizes risk, and supports accountability among all staff, tenants, and partners. It should include, at a minimum, the following components: 1.Operational Framework •Business Plan: Defines objectives, mission, target market, and revenue model. •Operating Hours: Establish consistent and approved business hours for all tenants and operations. •Standard Operating Procedures (SOPs): Detailed instructions for day-to-day activities to maintain quality and compliance. 2.Tenant Management •Tenant Rules and Responsibilities: Guidelines covering conduct, cleanliness, signage, and shared space etiquette. •Trash and Waste Management: Clear instructions for waste segregation, disposal, and recycling to maintain cleanliness and health standards. •Rent Collection and Default Procedure: Steps to follow in case of late payments, disputes, or non- compliance. •Vendor and Tenant Contracts: Written agreements defining lease 23 THE GROOVE KRATE OF CLEAR WATER terms, operational boundaries, and performance expectations. 3. Staffing and Human Resources •Hiring and Onboarding Procedures: Policies for screening, training, and onboarding employees to ensure alignment with company standards. •Volunteer Program Process: Defined roles, expectations, and supervision guidelines for volunteers. •Internship Program: structured plans for student or community interns, including schedules, mentorship, and reporting expectations. •Employee Code of Conduct: Standards for professional behavior, dress code, attendance, and communication. 4. Marketing and Promotion •Promotion Guidelines for Crate Tenants: Clear policies on m a r k e t i n g , s i g n a g e , a n d collaborative advertising. •Event Marketing and Ticket Sales: Procedures for pricing, distribution, and reconciliation of ticket revenue. •C o m m u n i t y E n g a g e m e n t : S t r a t e g i e s f o r o u t r e a c h , p a r t n e r s h i p s , a n d l o c a l collaborations to enhance visibility and goodwill. 5. Financial and Administrative Controls •B u d g e t i n g a n d E x p e n s e Management: Framework for tracking operational costs, vendor payments, and event budgets. •Procurement and Vendor Rules: Clear process for vendor selection, contracting, and compliance with payment terms. •Reporting and Recordkeeping: Standard templates for financial and operational reporting. 6. Risk and Safety Management •Incident Reporting Procedures: Documentation process for accidents, complaints, or security issues. •Safety and Emergency Protocols: Steps for fire safety, crowd control, and coordination with local authorities. •Insurance and Liability Coverage: Requirements for tenants, vendors, and events. •Performance Review System: Regular evaluation of tenant satisfaction, sales performance, and operational efficiency. •Feedback Loop: Channels for receiving and addressing feedback from tenants, customers, and staff. •Periodic Manual Updates: Annual or semi-annual reviews to keep 24 THE GROOVE KRATE OF CLEAR WATER policies current with regulations and business needs. •Zoning & Permitting: Ensure compliance regarding container placement, utilities, fire code, and ADA access before installation. •Anchor Tenants: Secure at least one high-traffic draw (ex: coffee or dessert) to establish baseline daily foot-traffic. Risk: Architectural Design - Sun, Rain - and the Social Factor Weather Exposure and Socializing in Plaza Design Weather exposure significantly impacts plaza use, as high heat, rain, and humidity can reduce visitor time. Therefore, the architectural design must incorporate adequate shading and cooling solutions to ensure visitors and families can comfortably enjoy the plaza year-round, even during inclement weather or intense heat. The social factor is a key determinant of a plaza's success. The architectural design should actively facilitate socialization, allowing children, adults, and families to connect with each other and build memories. This emphasis on social areas was a major contributing factor to the success of places like Sparkman Wharf Plaza. Conversely, while The Krate does have social areas, feedback from owner-operators suggests that the design could be improved by providing better-protected spaces for socializing during rainy or very hot days, specifically indicating a need for more shade areas. To enhance the social factor, a key feature in the high-traffic social areas of successful designs like Sparkman Wharf and Armature Works is the use of synthetic turf. This material not only provides an appealing surface but also allows for the diversification of its usage for various activities, including social events, outdoor classes, and play areas. 25 Feedback from owner- operators suggests that the design could be improved by providing better- protected spaces for socializing. THE GROOVE KRATE OF CLEAR WATER POST-OPENING RECOMMENDED BEST PRACTICES Operational Consistency: Maintain standardized hours, cleaning schedules, and customer service expectations across all tenants. Management Presence: On-site management supports coordination, maintains quality standards, and resolves issues quickly. Show your tenants that you are present. Event Programming: Schedule recurring events (live music, markets, workshops) to increase visitation and build routine community engagement. Customer Feedback Loop: Collect ongoing feedback to improve seating, shade placement, traffic flow, or vendor/ tenant’s needs. Scalability: Introduce seasonal pop-ups and rotating vendor slots to stay adaptable and maintain novelty. Market Expansion: Leverage partnerships with local organizations, schools, and community groups to broaden visitor reach. Shared Standards: Consistent expectations for hours, cleanliness, and presentation across all units reinforce brand identity. •Centralized Maintenance: Common areas, trash, and exterior upkeep should be plaza-managed to ensure uniform quality. 26 THE GROOVE KRATE OF CLEAR WATER Clear Signage: Wayfinding and vendor identification signage should be uniform and visible from all entry approaches. •Inventory & Storage Coordination: Assist vendors in managing limited storage space effectively. PROCESS For a smoother process, below are some recommendations suggested by participants included in our research: •Onboarding System: Provide written guidelines covering layout, signage, hours, and shared responsibilities. •Communication Structure: Set recurring vendor check-ins to address needs and maintain alignment. •Issue Resolution Protocol: Establish a clear process for reporting maintenance or operational concerns. •Compliance Tracking: Maintain organized records for inspections, licensing, and required permits. FAMILIES, VISITORS, CLIENTS - CUSTOMERS •Customer Comfort: Provide seating variety, shade, and social gathering zones to support longer stays. •Vendor Collaboration: Encourage cross-promotions and shared specials to increase average visitor spending. •Community Participation: Involve schools, artists, and cultural organizations in events and programming. •Customer Comfort: Provide seating variety, shade, and social gathering zones to support longer stays. 27 THE GROOVE KRATE OF CLEAR WATER GROWTH BEST PRACTICES POST OPENING Risk: Membership Strategy Charging a membership fee can be an effective way to generate revenue; however, it carries a high risk if not properly structured and communicated. If the program lacks clear benefits or transparency, members may become confused or perceive it as a way to capitalize on events rather than add genuine value Risk Mitigation: Membership Strategy, community involvement, Communication & Promotion To give back and uplift the local neighborhood by offering free memberships to residents and local businesses, encouraging community involvement, and local economic growth. Free Membership for Local Neighborhood Residents, Businesses, and Staff: • Offer discounts and perks to local members and businesses as incentives for participation and spending. • Encourage residents to participate in The Crate experience. • Invite residents to apply for employment opportunities within The Crate. 28 THE GROOVE KRATE OF CLEAR WATER MICRO-ANALYSIS INSIGHTS AND FINDINGS WHY MICRO-ANALYSIS WAS USED. The micro-analysis sought to gather credible, real-world knowledge and best practices in managing risk and growth from current and former owner-operators of businesses in a container shopping plaza. This information is intended to provide the Urban Coalition, the City of Clearwater, and primarily future owners/ operators with a clear framework. The consultant achieved this by conducting in-depth interviews with seven participants. Micro-analysis PMR revealed the following notable information and key findings: Risk: Lack of Commitment Being a business owner, especially in years 1 to 3, takes 125% commitment. Micro-research ( interviews with business owners) revealed that owners who were not fully committed to managing the business 24/7 experienced financial difficulties, slow growth, and, in some instances, financial losses. Risk Mitigation: Clear Expectations and Commitment A key finding from an interview revealed that clear expectations about the enormous amount of commitment must be set from day one. It is a lifestyle choice and decision that must be carefully considered. Social life, family time, and other leisure time often take 2nd place while the business takes 1st place. Risk: Irresponsible Personal Financial Management Micro-research ( interviews with business owners) revealed that some business owners who are not used to making good money, once they do, they begin overspending on the personal side. Poor management of personal finance is a leading cause of business failure, particularly among micro-enterprises and small businesses. Findings revealed an occasion in which business owners had a superb week of high revenues, and later decided to close various stores for two weeks to spend the profits. 29 THE GROOVE KRATE OF CLEAR WATER Risk Mitigation: Responsible Growth - Reinvest in the Company During the growth stage ( years 1-to-3) a best practice is to reinvest any excess of revenues/profits into the company. Risk: Time & Commitment Time management is a foundational skill for successful business owners. Unfortunately, our micro-analysis reveals that a common initial weakness among new owners is effective time allocation. A key finding was that some owners didn't consistently dedicate sufficient time to the core operations of their new venture. This lack of consistent presence and commitment can significantly impact early growth and stability. Risk Mitigation: Best Practice Insights To help mitigate this risk, our micro- research included an interview with one owner who successfully scaled his restaurant business from one location to three in five years. His shared best practice provides a clear roadmap for early commitment: "In the first year of operating my first restaurant, I took no vacation time and was present seven days a week on the front lines, working shoulder to shoulder with my employees. Once I built enough confidence in my team, specifically how efficiently and how committedly they could run the business, only then did I begin to shift my focus toward building and managing the other locations." This example highlights the critical need for front-line, immersive commitment during the initial startup phase to build a reliable team and operational stability. 30 THE GROOVE KRATE OF CLEAR WATER OTHERS Digital Presence: Maintain active social media to reinforce brand awareness beyond in- person visits. Customer Retention: Use loyalty programs or digital punch cards to encourage return visits. Profits •Cost Control: Monitor ingredient and supply costs closely to protect margins. •Labor Efficiency: Schedule staff according to peak hours to avoid overspending. •Upselling: Offer small upgrades or add-ons to increase transaction value. •Sales Tracking: Use daily and weekly sales trends to refine staffing and production schedules. 31 THE GROOVE KRATE OF CLEAR WATER SECTION 3 STRATEGIES AND RECOMMENDATIONS 32 Start HereOperations ManualStrategic Map for the Success of theGroove Krate of Clear Water THE GROOVE KRATE OF CLEAR WATER 1- RETAIL MIX VERSUS RESTAURANT CLUSTER A retail mix offers a variety of shops and services, while a restaurant cluster focuses mainly on food and beverage vendors to create a strong dining destination. Based on our research, we recommend the Coalition adopt a restaurant cluster for The Groove Krates of Clearwater. This approach attracts families, encourages repeat visits, and creates a lively, welcoming environment for the community. 2- PLAZA PERSONA AND SOCIAL VIBE For The Grove to succeed, its concept, design, vendor selection, and operations must all align with one clear identity: a strong social vibe. The plaza should be known as a place where families, neighbors, and visitors naturally gather, connect, and enjoy shared experiences. Research from Sparkman Wharf shows that defining the character early, shifting toward a family-friendly destination and designing open, welcoming spaces, was key to its success. The Grove should follow this approach by establishing itself as a family-oriented social destination from the start, offering food, entertainment, music, games, and creative activities for all ages. This consistent persona will guide every decision and help make The Grove a true community hub. 3. ENHANCED FINANCIAL MODEL PMR findings suggest that tenant performance is significantly better when tenants have sufficient financial investment and a vested interest in their business's success. To align the landlord's and tenant's mutual financial interest, the project consultants recommend an enhanced financial model. This model is designed to ensure the tenant has "skin in the 33 THE GROOVE KRATE OF CLEAR WATER game," providing motivation for improved performance and helping to double rental income in a short timeframe. The following Financial Revenue/Rent model presents various options to achieve these goals: Review Appendix A and Appendix B 4- ROBUST OPERATIONS MANUAL A critical foundation of a successful business lies in a well-designed and thoroughly implemented Operations Manual. This document must clearly outline procedures, responsibilities, and performance standards to ensure consistency, compliance, and efficiency across all activities. The Operations Manual is essential to mitigate risk, promote order, ensure consistency of processes, address possible legal issues, establish best practices in operational excellence, and support growth. Critically, it also creates full transparency regarding operational rules, guidelines, laws, and expectations between the landlord and the tenants. 5- MARKETING EVENTS, TACTICS, STRATEGIES To strengthen The Grove’s visibility and build a vibrant community presence, we recommend hosting recurring events such as music festivals, arts and crafts activities, and weekend farmers markets, along with partnering with local schools and colleges for special promotions. Strategically, The Grove should also introduce branded merchandise like keychains, t- shirts, and small souvenirs while using brand ambassadors and PR collaborations to expand reach and create consistent buzz around the plaza. 5.1 MEMBERSHIP STRATEGY Membership is a best practice successfully utilized by organizations to cultivate a strong sense of community and belonging. Companies like Walmart and Costco have effectively driven the membership marketing strategy for decades. To replicate this success and create alignment, Consultants recommend establishing a membership program for this Plaza. This program will connect the plaza operators, tenants, and shoppers/clients, fostering a feeling that they belong and are part of a new era for the neighborhood and Clearwater. Furthermore, this membership recommendation will help uplift the local community. 34 A list of various local events in the calendar year of 2026 is shown in Appendix B THE GROOVE KRATE OF CLEAR WATER It is recommended that the Landlord determine specific perks and benefits that members can receive. For instance, to drive traffic during slow hours (such as 2:00 p.m. to 5:00 p.m. on Tuesdays or Wednesdays), members may receive special discounts or offers by shopping during these designated times. 5.2 POP-UP STORES Utilizing temporary pop-up stores is an excellent strategy to maximize revenue and rent, particularly during holiday weekends and peak seasons throughout the year. 5.3 STRATEGIC PARTNERSHIP & CLEVER PROMOTIONS It is recommended that Urban Collision leverage its non-profit status to develop strategic partnerships that can generate extra revenue, such as through the sponsorship of events and participation in community activities. Examples of potential partnerships include schools, universities, colleges, banks, law firms, hospitals, and various local businesses. For instance, a best practice observed in the Wesley Chapel area is an ice cream shop offering local K-12 schools a 30% discount on ice cream after school on Fridays, and a "bring your own banana" promotion that gives customers a $3 banana split ice cream. 5.4 BRANDED MERCHANDISE Developing branded merchandise featuring the small Krate logo or an actual Krate figurine can significantly help promote the Plaza. Members can receive items like bracelets, pins, keychains, and wearables that they can use to tell their friends, effectively spreading word-of-mouth marketing about the Plaza. 5.5 GUERRILLA MARKETING: LOW COST & HIGH IMPACT PROMOTION Small box placed strategically in high-traffic and visible areas 35 THE GROOVE KRATE OF CLEAR WATER The Team of consultants is inspired by one of the most successful low-cost, high-impact marketing campaigns developed by the national fitness chain, Orangetheory. That campaign involves strategically placing an old bike painted orange at high-traffic intersections with high visibility. These orange bicycles are typically parked about 90 days before the opening of the next location, generating free word-of-mouth social media marketing from Facebook and commuters about the upcoming retail location. Therefore, the consulting team recommends creating a similar promotion using a smaller-scale old crate that can be strategically placed in key locations, including high-visibility spots in Clearwater, Pinellas County, and both the St. Pete/Clearwater (PIE) and Tampa International (TPA) Airports. 6 - TECHNOLOGY AND SOCIAL MEDIA MANAGEMENT To achieve the maximum exposure essential for the plaza's success, its technology and social media presence must be overseen by a dedicated professional. This management should focus on generating high visibility through strategic digital outreach, including the execution of strategic online campaigns, impactful collaborations with influencers, and targeted digital advertising. Furthermore, an important social strategy recommendation is for the plaza to participate in local podcasts to promote its unique offerings to a community-focused audience. Another idea is to invite influencers for a private soft opening A separate but equally critical recommendation is the optimization of the Google Maps locator (Google Business Profile). This optimization is vital to ensure that the Container Plaza is effortlessly discoverable by anyone, whether a local resident or a tourist, making physical access as easy as possible. 36 THE GROOVE KRATE OF CLEAR WATER 7- ARCHITECTURAL DESIGN FOCUSED ON SOCIAL CONNECTION The main goal of the plaza's design must be to create a dynamic social space that strongly appeals to families and children. The design needs to focus on facilitating diverse entertainment, events, and activities where socialization is key. Because this social factor is critical, the team of consultants recommends limiting the development to no more than ten containers. This ensures ample open space remains dedicated to cultivating the essential social atmosphere. Market research shows that using synthetic or artificial turf in family gathering areas is very successful (like at Armature Works and Sparkman Wharf). Sparkman's success is largely due to its design prioritizing enough space for family activities. The design must also include sufficient shady areas. This is vital for making the location pleasant and usable for families, providing comfort from hot weather and protection from rain 8 - IMPROVE NAME: THE GROOVE KRATES OF CLEARWATER PMR Findings reveal that a business name should represent the vibe and persona of the organization. For this reason, the Consulting Team recommends improving the name to: The Groove Krates of Clearwater. This new name will help attract tourists and families in Clearwater and beyond Pinellas County. Additionally, it will complement the nationally recognized Clearwater Beach vibe —a place known for good music, fun, entertainment, and a family- oriented atmosphere. 37 THE GROOVE KRATE OF CLEAR WATER 9 - OPTIMAL LOT/LOCATION Primary Market Research clearly indicated that selecting an optimal location for the plaza development is absolutely critical for effective operational management. This involves efficiently handling the flow of vehicular traffic, the movement of pedestrians, managing adequate parking, and the necessary control of noise generated by events that involve music. Due to the significant impact of these factors, consultants recommend utilizing the alternative lot. This specific site is preferable because it has a lower density of surrounding residential houses, which intrinsically offers a better flow for pedestrians, simplifies the management of car traffic, and improves overall parking logistics. 38 THE GROOVE KRATE OF CLEAR WATER 10- BUILD A UNIQUE ORGANIZATION CULTURE To develop a competitive advantage over other retail plazas and destinations, the Urban Coalition needs to infuse a well-defined organizational culture for tenants, employees, vendors, and all stakeholders; a culture that follows this principle: “This is how we do things at The Groove Krates of Clearwater.” Beyond strategy, defining a clear organizational culture is essential for the plaza's success. This culture must establish a standard way of doing business, strictly guided by the Operational Manual. The core focus must be on delivering exceptional customer service between the plaza and its tenants. This requires open and consistent communication. We highly recommend implementing quarterly tenant meetings, especially during the first year of operation, to ensure alignment and continuous improvement. Critically, tenants must perceive that management (Landlords) is genuinely receptive to feedback and new ideas that can enhance the plaza's growth and operation. 39 Defining a clear organizational culture is essential for the plaza's success. THE GROOVE KRATE OF CLEAR WATER APPENDIX A FINANCIAL MODEL - RENT REVENUE LANDLORD AND TENANT STRATEGY TENANT INVESTMENT PROPOSAL Having “skin in the game” will motivate the tenant to perform better and help double rental income in a short period of time. Three Lease Structure Options OPTION 1: REDUCED BASE RENT + HIGHER % REVENUE SHARE•Rent 10 units = $7,000 per month $84,000 per year) a. Base rent: $700 per month per unit (8,400 per year) b. Percentage rent: 10% of gross sales c. Annual rent increase: 3% d. Incentive: 1–3 months of free rent OPTION 2: REDUCED BASE RENT + LOWER % REVENUE SHARE•Rent 10 units = $14,000 per month ($168,00 per year) a. Base rent: $1,400 per month per unit ($16,800 per year) b. Percentage rent: 5% of gross sales c. Annual rent increase: 3% d. Incentive: 1–3 months of free rent OPTION 3: FIXED RENT · Rent 10 units = $21,000 per month $252,000 per year) a. Base rent: $2,100 per month per unit ($25,200 per Yr) b. Annual rent increase: 3% c. Incentive: 1–3 months of free rent 40 THE GROOVE KRATE OF CLEAR WATER APPENDIX B EVENT REVENUE STRATEGIES To strengthen financial sustainability and community engagement, a balanced mix of revenue mechanisms can be implemented alongside traditional vendor fees. 1.FOOD TRUCK PARTNERSHIPS •Revenue Share: Participating food trucks contribute 15–20% of their total sales during each event as a commission fee. •Ticket System: ◦Visitors purchase event food tickets on-site. ◦Tickets are used as payment at participating food trucks. ◦At the end of the event, each food truck redeems collected tickets for reimbursement at 80–85% of their total ticket value, based on negotiated terms. •Advantages: ◦Provides accurate and transparent revenue tracking. ◦Ensures a consistent percentage of proceeds dedicated to event management and community reinvestment. 2. ENTRY FEES •Resident Policy: Local residents (within the venue’s ZIP code) receive free entry upon presenting valid identification as proof of residence. •General Admission: Non-residents are charged a $5–$10 entry fee per person, while children attend free. 41 THE GROOVE KRATE OF CLEAR WATER APPENDIX C LIST OF EVENTS Date Event Loca+on Notes Source 01/20 Morrissey Concert Mahaffey Theatre, St. Petersburg Rescheduled concert h?ps://themahaffey.com/ show/morrissey/ 01/28 Forever Motown Mahaffey Theatre, St. Petersburg Motown tribute show h?ps:// www.visitstpeteclearwate r.com/event/forever- motown-mahaffey/59386 01/31 The Rocket Man Show Mahaffey Theatre, St. Petersburg Elton John tribute h?ps://themahaffey.com/ show/rocket-man/ 02/06 - 02/08 Needlepoint Retreat Clearwater Arts & craSs retreat h?ps:// www.facebook.com/ groups/ 748907069549635/posts/ 1329409721499364/ 02/12 - 02/15 Shriners Children’s Clearwater InvitaXonal Eddie C. Moore Complex, Clearwater College soSball tournament h?ps:// www.clearwaterinvitaXon al.com/ 02/20 - 02/22 St. Petersburg Seafood & Music FesXval Vinoy Park, St. Petersburg Seafood and live music fesXval h?ps:// www.visitstpeteclearwate r.com/event/st- petersburg-seafood- music-fesXval/43411 02/27 Styx & Cheap Trick Concert Coachman Park, Clearwater Classic rock concert h?ps:// www.myclearwater.com/ Visit-Coachman-Park/03- Coachman-Park-Events 03/06 Li?le River Band with Billy Joel Legends Coachman Park, Clearwater Live music concert h?ps:// www.myclearwater.com/ Visit-Coachman-Park/03- Coachman-Park-Events 03/12 - 03/15 Reggae Rise Up Florida Vinoy Park, St. Petersburg Major reggae fesXval h?ps:// reggaeriseup.com/ florida/ 03/21 Joe Bonamassa Live Coachman Park, Clearwater Blues guitarist concert h?ps:// www.myclearwater.com/ Visit-Coachman-Park/03- Coachman-Park-Events 03/27 - 03/28 Dancing With The Stars: Live! Tour Ruth Eckerd Hall, Clearwater NaXonal tour stop h?ps:// www.rutheckerdhall.com/ events/detail/dancing- with-the-stars 03/27 - 04/12 Pier 60 Sugar Sand FesXval Clearwater Beach Annual sand sculpXng event h?ps:// www.myclearwater.com/ Events-and-MeeXngs/ Pier-60-Sugar-Sand- FesXval 42 THE GROOVE KRATE OF CLEAR WATER 04/01 - 05/31 Making Waves Arts FesXval Various locaXons in Pinellas County Art & culture fesXval h?ps:// creaXvepinellas.org/ event/making-waves/ 04/10 - 04/12 Tampa Bay Blues FesXval Vinoy Waterfront Park, St. Petersburg MulX-day blues fesXval h?ps:// www.tampabaybluesfest. com/ 05/02 - 05/03 Pinellas Pepper Fest England Brothers Park, Pinellas Park Hot & spicy food event h?ps:// www.sikpromoXons.com/ applicants/spring/ pinellas-pepper-fest 05/09 Luau 5K & 10K Run Tarpon Springs Community running event h?ps:// runningintheusa.com/ race/list/pinellas-county- fl/may 05/13 Business Electronics & Chemical CollecXon Event Pinellas County Environmental collecXon program h?ps://pinellas.gov/ event/business- electronics-chemical- collecXon-event-43/ 05/17 Dunedin Rotary Triathlon Dunedin Annual triathlon event h?ps:// runningintheusa.com/ race/list/pinellas-county- fl/may 10/16 - 10/18 Clearwater Jazz Holiday Coachman Park, Clearwater Annual jazz fesXval h?ps:// www.clearwaterjazz.com/ 11/12 - 11/15 Symposium in the Sun Clearwater Fire/first- responder professional conference h?ps://www.iafc.org/ events/event/ 2025/11/13/default- calendar/symposium-in- the-sun-2025 43 THE GROOVE KRATE OF CLEAR WATER REFERENCES BusinessDojo. (n.d.). Boba tea: Average revenue, profit and margins. BusinessDojo. https:// dojobusiness.com/blogs/news/tool-revenue-boba-tea Gabe (2025, October 21). Discussion of managing a business in a container retail plaza (Aimen. M, Interviewer) Christina (2025, October 14). Discussion of managing a small business in a container retail plaza (Aimen. M, Interviewer) Christina (2025, October 14). Discussion of managing a small business in a container retail plaza (Jones, L Interviewer) CoffeeShopHub. (n.d.). Wake up and smell the coffee: Gross profit margin for a cup. CoffeeShopHub. https://coffeeshophub.com/wake-up-and-smell-the-coffee-gross-profit- margin-for-a-cup/ coffeeshophub.com Dana (2025, October 10 ). Discussion of managing a business in a container retail plaza (Rojas. A, Interviewer) Gabe (2025, October 21). Discussion of managing a business in a container retail plaza (Rojas. A, Interviewer) Luis (2025, October 10). Discussion of managing a business in a container retail plaza (Rojas. A, Interviewer) PMR (October 21, 2025) Primary Market Research Interviews with participants, The Krate, Sparkman Wharf PMR (October 21, 2025) Primary Market Research Interviews with participants (Musallam, J. Interviewer) PMR (October 21, 2025) Primary Market Research Interviews with participants ( Davidson, R. Interviewer) PMR (October 21, 2025) Primary Market Research Interviews with participants (Mineo, J. Interviewer) PMR (October 21, 2025) Primary Market Research Interviews with participants (Mudassar, A. Interviewer) 44 THE GROOVE KRATE OF CLEAR WATER Precedence Research. (2025, July 4). Vegan food market size to hit USD 55.88 billion by 2034, plant-based demand drives 10.7% CAGR. GlobeNewswire. https:// www.globenewswire.com/news- Politz, M. (2025). Cobbler & Dumpcakes: The sweet profit centers for restaurants. Food & Beverage Magazine. https://www.fb101.com/cobbler-dumpcakes-the-sweet-profit-centers- for-restaurants/ Food & Beverage Magazine SPP, Velazquez (2025, October 21). Discussion of commercial shopping plaza’s risks, operations, and growth strategies. (Rojas. A, Interviewer) SPP, Cooke (2025, October 21). Discussion of macro-economics of commercial shopping plazas. (Rojas. A, Interviewer) SPP, Velazquez (2025, October 21). Discussion of macro-economics of commercial shopping plazas. (Rojas. A, Interviewer) SPP, Cooke (2025, October 21). Discussion of macro-economics of commercial shopping plazas. (Aimen. M, Interviewer) SPP, Velazquez (2025, October 21). Discussion of commercial shopping plaza’s risks, operations, and growth strategies. (Aimen. M, Interviewer) Tarek (2025, October 21). Discussion of managing a business in a container retail plaza (Rojas. A, Interviewer) Tarek (2025, October 21). Discussion of managing a business in a container retail plaza (Aimen. M, Interviewer) 45 THE GROVE @ 1105 A Strategic Business Consulting Project Developed by St. Petersburg College of Business for the City of Clearwater and the Urban Leadership Coalition December 1st, 2025 THE BUSINESS CONSULTING TEAM From Left To Right Joe, Aimen, Hector, Dr. Rojas, Ryan, John, Lisa OUR CONSULTING APPROACH & METHODOLOGY 11/24/2025 3 TOOLS USED TO EVALUATE FACTORS OF RISK OR SUCCESS •IFE Matrix ( Internal Factor Evaluation) – Landlord/Container Plaza •IFE Matrix ( Internal Factor Evaluation) – Future Tenants •EFE Matrix (External Factor Evaluation) – Retail Plaza Industry •CPM Matrix (Competitive Profile Matrix) - Competition •BCG Matrix (Boston Consulting Group) – Optimal type of business mix 4 MICRO-LEVEL ANALYSIS •In-depth interviews with 7 current and former business owner operators of containers located in The Krate Wesley Chapel and Sparkman Wharf, Tampa MACRO-LEVEL ANALYSIS •In-depth interview with Strategic Property Partners (SPP), Tampa-based national developer and operator of commercial real estate and retail container plazas. 5 RESEARCH FINDINGS REVEALED 6 MACRO- LEVEL ( LANDLORD) RISK FACTORS •Business Mix •2022 - 50% retail, 50% Restaurants. •2025 - 15% Retail- 85% restaurants •Tenant High turnover •Operations flaws - procedures not followed •Pedestrians and cars risk traffic ( crosswalks, traffic signs) •Event risks (alcohol usage, bars) –high crowds • Architectural design (rain, sun) CRITICAL SUCCESS FACTOR •Clear vision of the plaza persona/Vibe •Strong focus on family experience and social factor over profits •Music events bring more revenue • Ample variety of food choices •Good range of prices • Storage management for tenants • Dedicated team to events, promotions, and partnerships •Strong financial management 7 MICRO-LEVEL FINDINGS ( CONTAINER TENANTS) RISK FACTORS •Lack of time commitment to the business venture •Poor management of business and personal finance •Not sufficient trust in the landlord •Lack of business knowledge •Business general merchandise, out of business, or low walk-in traffic CRITICAL SUCCESS FACTOR •Use of CRM system to collect data and manage low and peak times •Year 1 – Year 3 125% commitment to build the business •Leverage food delivery apps ( owner 40% walk-in / 60% app orders) •Strong and active social media management • Offer Membership ( surprise box) •Strong operations and scheduling •High Gross Profit products 8 STRATEGIC RECOMMENDATIONS 1.Destination = Restaurant Cluster 2.Plaza Persona & Social Vibe 3.Enhanced Financial Model 4.Robust Operations Manual 5.Marketing, Events, Tactics, Strategies: Strategic Partnership & Clever Promotions Guerrilla Marketing: low-cost high Impact 6.Technology and Social Media Management 7.Architectural Design Focused on Social Connection 8.Improve Name: The Groove Krates of Clearwater 9.Optimal Lot/Location 10.Build a Unique Organization Culture Cover Memo City of Clearwater Main Library - Council Chambers 100 N. Osceola Avenue Clearwater, FL 33755 File Number: ID#25-1216 Agenda Date: 12/1/2025 Status: Agenda ReadyVersion: 1 File Type: Action ItemIn Control: Community Redevelopment Agency Agenda Number: 4.3 SUBJECT/RECOMMENDATION: Downtown Revitalization SUMMARY: A monthly opportunity for CRA Trustees to exchange ideas and address downtown related topics and priorities. STRATEGIC PRIORITY: Page 1 City of Clearwater Printed on 11/26/2025 Cover Memo City of Clearwater Main Library - Council Chambers 100 N. Osceola Avenue Clearwater, FL 33755 File Number: ID#25-1243 Agenda Date: 12/1/2025 Status: Agenda ReadyVersion: 1 File Type: Action ItemIn Control: Community Redevelopment Agency Agenda Number: 5.1 SUBJECT/RECOMMENDATION: Director’s Report SUMMARY: Page 1 City of Clearwater Printed on 11/26/2025 |1DOWNTOWN CLEARWATER COMMUNITY REDEVELOPMENT AREA ZDirectors Report November 2025 |2CLEARWATER COMMUNITY REDEVELOPMENT AGENCY Table of Contents •Downtown CRA Updates •North Greenwood CRA Updates |3DOWNTOWN CLEARWATER COMMUNITY REDEVELOPMENT AREA Downtown CRA Updates |4DOWNTOWN CLEARWATER COMMUNITY REDEVELOPMENT AREA Next Meeting •Downtown Construction Updates •Special Events Updates •CRA/DDB Updates Tuesday, January 27th | 3:00 pm Clearwater Main Library 100 N Oceola Ave | 1st Floor Board Room Last Meeting Topics Nov. 25 |5DOWNTOWN CLEARWATER COMMUNITY REDEVELOPMENT AREA Downtown Construction Crews | Restaurant Promotions To support construction workers in the downtown area,restaurants are offering limited-time dining discounts and specials. •Olive and Thyme: Daily lunch special with a soda for $12, or 10% off any regular menu item (food only). •The District Bistro: 10% off any food item More participating restaurants will be added soon. |6DOWNTOWN CLEARWATER COMMUNITY REDEVELOPMENT AREA New Businesses Mira Bella Salon 1350 Cleveland Street The salon is relocating to the Downtown CRA district and is working with staff on a Downtown Commercial Grant. The District Bistro 412 Cleveland Street A ribbon cutting was held to celebrate the opening of this new downtown restaurant. Flip Side Burgers & Shakes 534 Cleveland Street Coming soon on Cleveland Street and Garden Avenue, offering craft burgers and specialty shakes. |7NORTH GREENWOOD COMMUNITY REDEVELOPMENT AREA North Greenwood CRA Updates |8NORTH GREENWOOD COMMUNITY REDEVELOPMENT AREA Shipping Container Village Update Bay News 9 highlighted North Greenwood revitalization efforts on November 18. Local business owner Eddy Adams from Loaded: The Potato Place shared plans to expand into the new village. The Grove @ 1105 is expected to bring about twelve new businesses and open in Summer 2026. |9NORTH GREENWOOD COMMUNITY REDEVELOPMENT AREA North Greenwood CAC Meeting •Welcome new members: Hannah Menard and Jason Corbett •Negotiation and funding recommendations for 1105 Carlton Street will be reviewed. •Update from Planning and Development staff on the North Greenwood Overlay District. Topics that will be discussedNext Meeting Date: Wednesday, Dec. 3 Time:5:30 – 6:30 p.m. Location: North Greenwood Recreation Center